PHOSPHATE MANURES

Otago Witness, Issue 3414, 20 August 1919, Page 12

PHOSPHATE MANURES

SUPPLIES FROM NAURU. (Fkom Oor Own Correspondent i WELLINGTON. August 12. In a few years it will perhaps be found by the producers of New Zealand that the arrangements made by Mr Massey on behalf of New Zetland for a supply of phosphate manure from Nauru Island were the most important piece of work for the farmers of New Zealand that was done at the conference. Ever since the war began all kinds of fertilisers have been almost unobtainable. This country has great need of phospha.tic manures at a reasonable price, and the supplies in sight on Nauru Island may be considered at present ample for the requirements of New Zealand and' Australia, and sufficient also to supply Britain with any that she may require. At the outbreak of the war Nauru Island belonged to Germany, but, along with the other Pacific islands belonging to the enemy, it was taken in occupation soon after the declaration of war, and the troops detailed for the duty happened to be Australians. It was quite a bloodless conquest. It is quite impossible to get reliable information as to the amount of phosphates on Nauru Island. The Germans estimated that the total was 300,000,000 tons, of a total value of milliards of marks. British experts have given such widely differing estimates as 42,500,000 tons and 414,000,000 tons. The Nauru phosphates are of high quality, said to have been worth £3 per ton on the wharf at Nauru before the war. Ocean Island phosphates were worth rather less than half this price. The agreement declares the proportion in which tne phosphates are to be apportioned among Britain, Australia, and New Zealand, and also declares that the cost of purchase must b 3 borne in the same proportion by the Governments concerned. These terms are only tentatively agreed upon. Up till the present, and they are still capable of variation in the event of the three Governments mutually agreeing, but for the present the proportions in which the allocations are to be made and the cost to be paid are:—Britain, 42 per 03nt.; Australia, 42 per cent.; New Zealand, 16 per cent. The proportion allowed to New Zealand does not seem to be large, •but there are possibilities of more cpming to us. Phosphates are to be supplied to the three Governments at the same f.o.b. prices, to be fixed by the commissioners at a rate sufficient to cover working expenses, cost of management, interest on capital, and contribution to administrative expenses (which is in the same proportion as the allocation of Ehe phosphates), a sinking fimd for the repayment of oapital cost, and for other purposes which may be agreed upon unanimously by the commissioners. No royalties will be payable. If it should happen that any Government does not require its full share of phosphates, the portion not required must be sold at the fixed price for the Government to any other Government requiring the phosphates for the use of its own country and not for export. If there should still in any year be a surplus not required by any of the three countries the phosphates may be sold by the commissioners at the best price obtainable. It seems to be highly probable that Britain will not be taking phosphates from this side oi the wofTu at the high freights now payable, and in that case New Zealand should be able to get much more than her share of 16 per cent., and at the same time she will not make herself responsible under the agreement for more than 16 per cent, of the purchase and administration cost. Of course, Australia will have a right also to the surplus not required by Britain, but Australia is getting a big share already, and may not need more for home consumption. If Australia does want the phosphates they will be divided between Australia and New Zealand in the proportions agreed upon for the division in the first instance. At the ond of the first five years,_ and every five years afterwards, the basis of allotment may bo altered, and it is agreed that the basis of readjustment is to be in accordance with the actual requirements of each country. The arrangements made assure a supply of phosphatic manures' to this country. Often in the past phosphates have been applied in the form of basic slag, but supplies of this are not likely_ to be obtainable lor many years. In Britain, the output of all the furnaces dealing with ores of the right analysis has been purchased on account of the British farmers, and there will be none from 'Germany. For some little time we must get our phosphates from the Pacific Islands, and this agreement will ensure tliat the Now Zealand farmer, who will need such fertilisers more and moro In the years to come, will get them without being compelled to pay a scarcity price for them. Mr Massey estimates that it will be

possible when the enterprise is fully developed to export 500,000 tons of phosphates from Nauru, and that of this amount New Zealand will need 100,000 tons. Ho thinks it probable that the purchase will be in debentures bearing' interest, and that a sinking fund will be established to redeem tho debentures in from 25 to 30 years.